Cooperatives will soon be able to export, says Amit Shah

New Delhi: Indian cooperatives will soon be able to export their products with the government working on a plan to register "two big cooperatives as export house registration" units in which other cooperative societies can register themselves as "members", said Union cooperation minister Amit Shah.

"We will set up a channel for them to export and brand their products, including organic produce," Shah said while addressing a conference to commemorate the 100th International Day of Cooperatives at Vigyan Bhavan.

In 2019, the Union government has set up the Cooperative Sector Exports Promotion Forum (CSEPF) under the National Cooperative Development Corporation (NCDC) to assist farmers export their products. There are an estimated 8.55 lakh cooperative societies in India and around 13 crore people, including farmers linked directly with this sector.


Shah informed that the ministry has come out with draft model by-laws which will enable Primary Agricultural Cooperative Credit Societies (PACS) to diversify from their core business. As PACS is a state subject, he said the suggestions of state governments are being sought. "These bylaws will make PACS the centre of village activities by providing many functions and facilities. If any PACS becomes defunct, states will have the power to liquidate it within 180 days and set up a new one in its place," Shah added.

PACS constitute the lowest tier of the three-tier short-term cooperative credit (STCC) comprising mostly farmers as members. Last week, the Union Cabinet approved computerisation of about 63,000 functional PACS over five years with a total budget outlay of ₹2,516 crore.